Having a credit to yourself is a necessity because when a loan is been giving to you, there will have to know the range of the credit score to know whether or not to grant this loan to you. It also implies to granting of credit card approvals and other types of financial assistance. A credit score range shows the level at which you can be a good debtor when it comes to the aspect of paying. This means that when you have a high score on your range as a debtor you can be granted some things while a low range score means you are not a good credit risk. Here are some of the score ranging list and how it can be of help to you.
1. 800-850 or higher – This means that you have an excellent score. With this the company that wants to grant you a loan won’t hesitate to do that but the other problem with this is that there is a very low rate of income.
2. 720-799 – This is just an excellent pass. This also takes the place of the first one I explained but not really exactly. There are some slight strings that are not there.
3. 680-719 – This shows a stage of it being good. Its also good only that the interest rate would be higher than the first two that I have explained.
4. 620-679 – Good also but gives fewer credit approval
5. 580-619 – below par. Shows a very rare credit approval and very high interest rate
6. 500-579 – This shows you that you have remarks like foreclosure or bankruptcy on the report.
7. Below 500 – If you have this in your credit, don’t even bother to apply for a loan because you will just want to get yourself embarrassed.
You can avoid having yourself placed in a low score range if you know how to manage your expenses properly.
